Office

• During the first nine months of 2014 966 thousand sq. m of office space was introduced, this is more than twice exceeds the volume of new construction in the same period of 2013.
• The volume of net absorption for the Q3, 2014 increased by 300 thousand sq. m. Thus, in September this figure reached 560 thousand sq. m, which is higher than last year  when the volume of net absorption was 535 thousand sq. m. which was extremely low.
• The volume of new construction 1.5 times  exceeding  net absorption resulted in growth of vacancy rates.

In the 1 st half of 2016, less than half the volume of new construction came on the market in comparison with the same period of the previous year. This was a record low indicator for half- year commissionings over the last 10 years.

Total net absorption for the 1 st half was almost 4 times greater than the value for the same period of 2015. However, the high value of the indicator in the 1 st half was the result of several significant deals in facilities of class A/B+ during the 1st quarter.

In Q2 2013, the total volume of quality office space in Moscow reached 14,1 million sq m. Within Q1 – Q2, 2013 299 thousand sq m have been commissioned, which is 17% more than at the same period last year.

The volume of net absorption continues to decline. During the first half of 2013 the level of net absorption reached  the mark of - 48 thousand sq m.

In Q1 2014  the total volume of quality office space in Moscow reached 15,5 mln. sq. m. Within the first three months of 2014 299 thousand sq. m have been commissioned, which is 6 % more than at the same period last year.

Net absorption of office space during the first three months remains low, but nevertheless it demonstrates a positive trend. Thus, the volume of net absorption increased by 8 times compared with the same period last year, and at the end of Q1 2014 it comprised 151 thousand sq. m.

The first quarter of 2017 has seen zero new supply, which has become an anti record for the last 10 years of collecting and tracking down market data.

The total number of square meters of new office space in 2017 is expected to be the lowest and will not exceed 450,000 square meters as announced by the developers.

The largest projects, however, will continue to be pushed back, and the new supply may actually turn out to be even lower.

Early 2016 was characterized by a further decline in development activity. Over the first three months of the year, only 81K sq. m of new office space was brought to the market, this being 3.7 times less than in the same period last year.

The pace of new construction continues to be influenced by the post-crisis situation. During the first half of the year, only 48 thousand square meters of new office space were commissioned

The total net absorption in the first half of the year is 18% higher than the figure for the same period last year.

Net absorption exceeds the volume of new construction more than 6.5 times.

The vacancy rate decreased by 1.6 percentage points on average for all classes and amounted to10.7%

The total market volume for Q1 2018 - 20.4 million sq.m.

During the quarter was introduced 48 thousand square meters of new office space. The volume of increase in new supply will be 10-20% less than in 2017.

The average vacancy rate in the market average in March decreased by 30.9 percentage points.

The pace of new construction remained high. Despite the difficult economic situation, properties with a high readiness stage are being completed and brought to market. The generation of excess supply continues.

The total net absorption volume which shows the change in occupied office space has fallen to a negative value due to vacancies in Class B properties in the context of the economic crisis.